questions wrong
how many days notice must an insurer provide to an insured regarding the lapse of a policy due to outstanding loans
30 days
Who is a third-party owner?
A policyowner who is not the insured
Long-term care policies MUST cover
Alzheimer's disease.
All of the following apply to short-term disability plans EXCEPT
Both group and individual plans are renewable.
Which of the following entities has the authority to make changes to an insurance policy?
Insurer's executive officer
The Missouri Life and Health Insurance Guaranty Association was created to protect all of the following EXCEPT
Insurers.
Which provision of a life insurance policy states the insurer's duty to pay benefits upon the death of the insured, and to whom the benefits will be paid?
Insuring clause
which of the following is NOT mandatory under the uniform provisions law as applied to accident and health policies?
Probationary period is an optional provision
Which of the following protects consumers against the circulation of inaccurate or obsolete personal or financial information?
The Fair Credit Reporting Act
An employee becomes insured under a PPO plan provided by his employer. If the insured decides to go to a physician who is not a PPO provider, which of the following will happen?
The PPO will pay reduced benefits.
Which of the following is NOT true regarding partial disability?
This is a form of insurance that covers part-time workers.
a whole life policy is surrendered for a reduced-paid up policy. the cash value in the new policy will
continue to increase
which of the following meets the insured's personal needs, and is provided by non-medical personal
custodial care
all of the following are features of a catastrophic plans except
high premiums catastrophic plans are usually lower monthly premiums and high deductables
which of the following is NOT correct concerning taxation of disability income benefits?
if paid by the individual, the premiums are tax deductible
Circulating deceptive sales material to the public is what type of Unfair Trade Practice?
False advertising
How many pints of blood will be paid for by Medicare Supplement core benefits?
First 3
An insured is involved in a car accident. In addition to general, less serious injuries, he permanently loses the use of his leg and is rendered completely blind. The blindness improves a month later. To what extent will he receive Presumptive Disability benefits?
No benefits
During replacement of life insurance, a replacing insurer must do which of the following?
Obtain a list of all life insurance policies that will be replaced
Todd has been informed that he has a hernia which requires repair. When Todd researches the cost, he learns that his insurance plan will cover 200 points worth of surgical expenses. Each point represents $10, which means that $2000 of his surgery will be covered by his insurance plan. What system is Todd's insurance company using?
Relative value
Which of the following applicants would NOT qualify for a Keogh Plan?
Someone who works 400 hours per year A person must have worked at least 1,000 hours per year to be eligible for a Keogh Plan.
A producer is helping a married couple determine the financial needs of their children in the event one or both should die prematurely. This is a personal use of life insurance known as
Survivor protection.
according to the life insurance replacement regulations which of the following would be an example of a policy replacement
a policy is reissued with a reduction in cash value
which of the following statements is not true regarding health insurance policy provisions?
all additional provisions written by insurers are cataloged by their respective state
insurer's cannot transact insurance in this state without a
certificate of authority
when may an HIV-related test results be provided to the MIB
only if the individual is not identified
the underlying assets of a variable life policy issued by an admitted company must be
reported to the policyholder annually
which of the following scenarios would require that an insured is provided with a conversion option from group to individual health insurance coverage
the insured had continuous coverage under the policy
all of the following are characteristics of group health insurance plans EXCEPT
the parties that hold a group health insurance contract are the employees and the employer
an employee that becomes ineligible for group coverage because of termination of employment or change in status must exercise extension of benefits under COBRA
within 60 days
what effect will the long-term care rider have on the death benefit of a life insurance policy if LTC benefits were paid to the insured?
reduce the death benefit as with the living needs rider payment of LTC benefits will reduce the amount payable to the beneficiary upon the insured's death
Nonforfeiture values guarantee which of the following for the policyowner?
That the cash value will not be lost
Can an individual who belongs to a POS plan use an out-of-network physician?
Yes, and they may use any preferred physician, even if not part of the HMO
which of the following CANNOT be included in the universal life policy?
figures based on non guarantees
which of the following is NOT required coverage in health insurance policies in Missouri
mental retardation
In a long-term care policy, pre-existing condition limitations
Must appear as a separate paragraph and be clearly labeled.
Under a health insurance policy, benefits, other than death benefits, that have not otherwise been assigned, will be paid to
The insured.
If an insurer imposes a maximum lifetime benefit for breast cancer treatment using stem cell transplants, this limit must be at least
100,000
The LEAST expensive first-year premium is found in which of the following policies?
Annually Renewable Term
All of the following are legitimate reasons for a group health insurance policy nonrenewal EXCEPT
Any misrepresentation by the plan sponsor on the application for insurance.
A policyowner fails to pay the premium due on his whole life policy after the grace period passes, but the policy remains in force. This is due to what provision?
Automatic premium loan
An insured has chosen joint and 2/3 survivor as the settlement option. What does this mean to the beneficiaries?
The surviving beneficiary will continue receiving 2/3 of the benefit paid when both beneficiaries were alive.
The minimum number of credits required for partially insured status for Social Security disability benefits is
6 credits.
Which of the following statements is correct regarding a whole life policy?
The policyowner is entitled to policy loans.
if an application submits the initial premium with the application which action constitutes acceptance
the underwriters approve the application
what is a formulatory
a list of prescription drugs covered by a prescription drug plan
which of the following would be TRUE of both fixed-period and fixed-amount settlement options
both guarantee that the principal and interest will be fully paid out.
on an accidental death and dismemberment (AD&D) policy, the death benefit payable is known as the
principal sum
How long must an insurer maintain advertisements used in the sale of life insurance?
5 years
Disability income coverage specifies that the policy covers the insured if he is unable to perform any job for which he is qualified. In this case, total disability is defined as
Any occupation - more restrictive than other definitions If total disability is defined as any occupation, it means the coverage will apply only if the insured cannot find any means of income whatsoever. This is more strict than own occupation, where a person merely has to prove that they cannot perform the job for which they were previously trained.
The provision that provides for the sharing of expenses between the insured and the insurance company is
Coinsurance.
Which of the following includes information regarding a person's credit, character, reputation, and habits?
Consumer report
What does "level" refer to in level term insurance?
Face amount
Which of the following is an eligibility requirement for all Social Security Disability Income benefits?
Have attained fully insured status
In a Disability Income policy, all of the following are considered presumptive disabilities EXCEPT
In a Disability Income policy, all of the following are considered presumptive disabilities EXCEPT
The Medical Information Bureau (MIB) was created to protect
Insurance companies from adverse selection by high risk persons.
Which of the following settlement options in life insurance is known as straight life?
Life income The life-income option, also known as straight life, provides the recipient with an income that he or she cannot outlive. It pays the benefit while the beneficiary is alive; however, the payments stop at the beneficiary's death.
Traditional IRA contributions are tax deductible based on which of the following?
Owner's income
When a whole life policy lapses or is surrendered prior to maturity, the cash value can be used to
Purchase a single premium policy for a reduced face amount.
Which of the following statements is true regarding coinsurance?
The larger the percentage that is paid by the insured, the lower the required premium will be.
All of the following are general requirements of a qualified plan EXCEPT
The plan must provide an offset for social security benefits.
All of the following statements about Medicare supplement insurance policies are correct EXCEPT
They cover the cost of extended nursing home care.
When a group health policy is being replaced with another group health policy, what will happen with the ongoing claims?
They will be covered regardless of pre-existing conditions.
What is the purpose of the insurability provision in group life policies issued in this state?
To allow the insurer to require proof of insurability from individual insured
where are premiums from fixed annuities invested
a general account
a viatical settlement is a transaction outside the life insurance company where the owner sells the life insurance policy for which of the following?
a percentage of the face amount of the policy
all of the following statements are true regarding an ordinary straight life policy EXCEPT
it does not have a guaranteed death benefit
What is another name for interest-sensitive whole life insurance?
Current assumption life
A Return of Premium term life policy is written as what type of term coverage?
Increasing
Which of the following is NOT true of a major-medical health insurance policy?
It is designed to pay on a first dollar of expense basis.
all of the following must sign an application for health insurance EXCEPT the
insurer
with adjustable life, the owner can change all of the following except
the insured
the stop-loss feature on a major medical policy is intended to
establish a maximum amount of out-of-pocket expense that an insured will have to pay for medical expense in a calendar year
guaranteeing future dividends is considered to be an unfair or deceptive act known as
misrepresentation
which of the following are not assignability provisions relating to the assignment of ownership by a person under a group life policy?
the right to assign additional riders
When would a 20-pay whole life policy endow?
When the insured reaches age 100
Which of the following will NOT be considered unfair discrimination by insurers?
Discriminating in benefits and coverages based on the insured's habits and lifestyle
J is receiving a fixed amount benefit payment from his late wife's insurance policy. He was told that if he dies before all of the benefits are paid, the remaining amount will go to the contingency beneficiary. Which settlement option did J choose?
fixed amount
riley reads an agreement on the first page of the policy which includes a list of losses that will be covered by her insurer. What is the name of this agreement?
insuring clause
which of the following best describes a major medical expense policy
it provides catastrophic medical coverage beyond basic benefits on a usual, customary and reasonable basis
insureds have the right to do which of the following if they have NOT received the proper claim forms within 15 days of their notice to the insurer of a covered loss under a majority medical policy
submit the description in their own words on a plain sheet of paper
Within how many days of requesting an investigative consumer report must an insurer notify the consumer in writing that the report will be obtained?
3 days
Which of the following does NOT have to be disclosed in a long-term care (LTC) policy?
The aggregate amount of premiums due
all of the following statements about indexed whole life insurance are correct except
the policy face amount remains level throughout the life of the policy in indexed whole life policies, the face amount increases annually to keep pace with inflation
according to the common disaster clause if the primary beneficiary and the insured are killed in the same accident which will be assumed
the primary beneficiary died before the insured
Prior to purchasing a Medigap policy, a person must be enrolled in which of the following?
Parts A and B of Medicare
An insured is covered by a disability income policy that contains an accidental means clause. The insured exits a bus by jumping down the steps and breaks an ankle. What coverage will apply?
No coverage will apply, since the injury could have been foreseen.
A policyowner who is also the insured wants to name her husband as the beneficiary of her life policy. She also wishes to retain all of the rights of ownership. The policyowner should have her husband named as the
Revocable beneficiary.
if a life insurance policy is purchased by someone who has no insurable interest in the insured, it is considered
STOLI
While a claim is pending, an insurance company may require
An independent examination as often as reasonably required.
An insured has a life insurance policy from a participating company and receives quarterly dividends. He has instructed the company to apply the policy dividends to increase the death benefit. The dividend option that the insured has chosen is called
Paid-up additions. When this option is selected, the annual dividend acts as a single premium each year to buy additional amounts of insurance, based on the insured's currently attained age.
an equity indexed annuity will grow based upon
performance of a recognized index
Which of the following is NOT specifically prohibited by state law as an unfair trade practice?
Reducing the premiums paid by employers for group insurance based on loss experience
In which of the following situations would Social Security Disability benefits NOT cease?
The individual's son gets a part-time job to help support the family